Difference between revisions of "Barrier to entry"
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It may be that the cost of developing a product for that market can never be recouped. It can also be that the existing sellers in that market have defined the terms of what a product should be in such a way that no other company can create such a product. | It may be that the cost of developing a product for that market can never be recouped. It can also be that the existing sellers in that market have defined the terms of what a product should be in such a way that no other company can create such a product. | ||
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Revision as of 03:38, June 12, 2008
In trade economics, a barrier to entry is an insurmountable obstacle to entering a market.
It may be that the cost of developing a product for that market can never be recouped. It can also be that the existing sellers in that market have defined the terms of what a product should be in such a way that no other company can create such a product.